Archive for the ‘Marketing Theory’ Category

Marketing isn’t war on your customers.

Friday, August 27th, 2010

Most marketing metaphors seem so violent. Many of these metaphors are directed at competitors- you need to outwit, outflank, outsmart the enemy. It’s a bit macho for me, but I get it. You want to beat the other guy.

I’m mostly bothered by the warlike analogies directed at customers, as if we are trying to fight, capture, abduct or otherwise force people to buy from us. As part of the marketing lexicon we have:

  • Email blasts – Hit prospects with enough firepower, and surely we’ll get a few casualties, uh I mean customers.
  • Targeting customers – Hit the bullseye, win a customer. Just hope he survives the blood loss.
  • Capturing eyeballs – Possibly the creepiest analogy. For me, it conjures up images of a mad scientist’s laboratory.
  • Launching campaigns - This analogy is the most pervasive in marketing-speak, but it comes from military campaigns. Don’t attack until you see the whites of their eyes (see above).
  • Captive audiences – Once we’ve got them where we want them, they’ll have no chance but to pay attention! I believe this is the rationale for advertising placed above urinals.
  • Guerilla marketing – In case you thought marketing warfare was only for big companies. Now small businesses can get in on the assault. You may not be able to buy enough ad space to “cut through the clutter,” but you can certainly launch surprise attacks.

All this talk of conquering makes marketers lose sight of their customers’ humanity. After all, we are marketing to actual people. And actual people aren’t coerced into their purchasing decisions and won’t be swayed by “blasts” of advertising copy. They will just ignore you.

For marketing to be effective, it has to honor the true relationship between business and customer. Marketing parlance describes an outdated model of marketing when companies felt like they were in control. That illusion has been shattered. Now customers have many options, research tools and alternatives available to them. In reality, the customers call the shots, and they are in control.

But we need metaphors and analogies. It makes marketing efforts easier to visualize and share. These descriptions need to be accurate and enforce how people actually buy. A bad analogy is like a calloused rhinocerous (and the same can be said for bad similes, eh?). Let’s try to use realistic metaphors, ones that actually depict the relationship between business and customer. Some are already in circulation, such as the following:

  • Brand story – Instead of campaigns, develop a shared story between you and your customers. Think of advertising, PR and other communication methods as ways to move the story along.
  • Relationship marketing – Brand stories build relationships. With war marketing, you capture dollars. With relationship marketing, you develop a relationship that leads to sustainable business.
  • Seek permission – Get customers’ permission before starting up a conversation with them. Don’t waste time communicating with people who will never be your customer.
  • Engage customers – It’s your responsibility to find out what interests customers and engage them.
  • Build community - Engaged customers who are in a relationship with you will be eager to share that sense of community with others. A loyal community is the perfect referral network.
  • Email broadcast – No need to blast customers. Once you’ve sought permission, update them with content you wouldn’t mind getting in your own inbox.

Interestingly, some of these terms don’t have to be metaphors. We can have real relationships with our customers. Do you have more metaphors for my list? Email me at amanda@zooinajungle.com.

Let’s look at some success stories (it’s too easy to find failures). Here are four companies successfully putting these attitudes into practice.

Old Spice

Old Spice took their “Smell Like a Man, Man” story from a few clever commercials to an Internet phenomenon. They interacted with followers on Twitter, responding to questions with YouTube videos by the Old Spice Man himself. Hilarious? Certainly. And the business results were nothing to scoff at: the Old Spice line of products has skyrocketed in sales, rising by 107% in June.

But why did it work? Companies create funny ads all the time without such dramatic results. The key to this effort was acknowleding the power of the customer. Old Spice made their spokesman into a celebrity then shared him with the world. They encouraged their customers to be part of the joke.

Etsy – Buy and Sell Handmade

Etsy’s Facebook marketing is tailored for those who wish to buy or sell handmade and vintgage objects. They adopt a breezy, conversational style while recommending their sellers’ products. Here’s an example, where 57 people enjoyed reading about bird scupltures:

Author Guy Kawasaki

Apple veteran Guy Kawasaki’s Twitter strategy is unique and encourages curiosity. Imagine my surprise when I saw Guy Kawasaki was following people I know. It was flattering, but I found upon investigation that he is following 286,644 people. It’s very egalitarian of him to eschew the general rule that you shouldn’t follow more people than follow you. And, for me, seeing he follows people I know created a greater interest to learn more about him and his company. Like, did you know you can hire Guy for speaking engagements?

Wal-Mart (yes Wal-Mart!)

The retailing supergiant has avoided brute force marketing lately. Their Save Money, Live Better brand story tries to connect with customers, and they are building a community of “Savers.” Here is an excerpt from their website that shows their implementation:

The story extends to public relations as well- recently Wal-Mart donated 6,000 articles of professional clothing to Dress for Success, a group that helps unemployed women get ready for the workplace. Finding a job seems like a great way to Save Money, Live Better.

Small businesses are especially poised to take advantage of this empowering, personalized kind of marketing. Who could possibly be better at creating stories and growing relationships with their customers? How can you start putting these concepts to work for your business today?

Marketing Upsides in an Economic Downturn

Friday, August 13th, 2010

How small business marketing can benefit from this economy

Being naturally optimistic, I always try to turn bad situations into new opportunities. Our still-faltering economy may be dragging down business, but there are ways for small businesses to take advantage of the economic downturn. Here are a few:

  • Landlords may be willing to make deal and offer short-term leases. The Wall Street Journal reports that a new trend has started in retailing: the pop-up store. These stores operate with a short-term test lease to determine their feasibility. Creating low-risk leases enables more entrepreneurs the opportunity to start small-business retailing.
  • Start a business, and start making money. With many businesses unwilling to hire new employees in this uncertain economy, “accidental entrepreneurs” are being born. A USA Today story shows that 25% of workers laid off in the last six months are considering starting a business instead of finding a new job. Businesses still need work done, so they are increasingly turning to outside resources (that has certainly been my experience).
  • On the flip side of unemployment, if your business is looking to hire, you have great options right now. You need to maximize this opportunity. Make sure not to rush hiring decisions- conduct enough interviews to find the right person for the job who will fit with your culture.
  • If you have the cash to ramp up your advertising, you can buy more for your buck. For example, one of my clients is in an industry where pay per click (PPC) advertising has completely dried up. Now we can advertise with little competition and a much smaller budget. There may be fewer customers than before, but we are reaching almost all of them.
  • If this economy is leaving you with too much extra time, put it to good use. Take my small business marketing test to find your weak areas. When your business is booming, it’s hard to find time to plan for the future. If you work on your business strategy now, your business can come back stronger than it’s ever been.

Has your business developed any opportunities as a result of the recession? Please share!

Let’s get started!

Friday, August 6th, 2010

Small Business Marketing for Startups

Yesterday, an acquaintance asked me for advice on his startup company’s marketing. He just didn’t know how to get started with his first customer. He wanted to know what kinds of brochures, business card or website he needed to get people interested.

I told him, “Decide who you want your customers to be.”

He replied, “Oh, you mean middle class or upper class?”

“No, I mean decide which specific people in which neighborhoods should be your customers. Get to know them, how they talk and what their needs are. Then you can start selling. Then you will know what should be on your website.”

When people first start looking for customers, their instinct is to look for large groups of people and hope to convince a few of those people to hire them. The idea is, “If I aim for all middle class families, surely I’ll get a couple of customers.” But this instinct is wrong. The more people with whom you try to communicate, the less each one will pay attention to you. For example, I imagine you rarely pay attention to the loudspeaker at the grocery store. It’s just not that meaningful to you because the grocery store is trying to communicate a general message to the entire store. When you try to be meaningful to everyone, you end up being meaningful to no one. Generalization for the masses is the worst way to sell a new (or any) product.

To find its first customer, a startup needs to get specific. Instead of selling to groups differentiated by demographics, sell to individual people. Talk their language and address their needs.

On a related note, marketing expert Steve Yastrow wrote two very helpful newsletters on how to differentiate your customers as individuals instead of groups– Do Differentiation Differently and How to Do Differentiation Differently. Steve’s essential message is:

“Your customer doesn’t really care if you are different. But he will be blown away if he sees that you think he is different.”

Showing your customer you think he is different is more work than blanketing a city with flyers- but it will also yield more results. As counterintuitive as it may seem, startups (and all companies) will find more customers if they focus on fewer people.

Stop micro-managing. Start empowering.

Friday, July 9th, 2010

Micro-managing is the pitfall of too many small businesses. It may be counter-intuitive that you must let go a little for your business to grow. After all, perfection can only be achieved if you manage it, right? If your team has the power to make decisions, won’t they only screw things up?

Wrong. If your team feels empowered, they will think of ideas you never dreamed of.

Your small business will never grow unless you develop a team who share the same business vision and are empowered to make the vision a reality. I’ve seen many small businesses stagnate because their owners weren’t able to communicate, delegate and relinquish authority to their teams. Your team can consist of employees, independent contractors and vendors.

Micro-managing means managing the small stuff. As a small business owner, you should be concerned with things such as the company vision or strategies for the upcoming year. Here are some ways to avoid micro-managing. They may not seem like large infractions, but think of the time wasted that could be put towards valuable business growth activities.

  • Always think, “Is this the most important thing I could be doing right now?” Management expert Peter Drucker wrote, “Doing the right things is more important than doing things right.”
  • Unless you own a graphic design firm, don’t ever question a font again. Instead, employ designers who have the freedom to design what your customers want- not what you want.
  • Don’t spend an hour on the phone with an accounting software vendor when you will never use the software. Let your bookkeeper make these decisions. The same rule applies to any kind of purchase.
  • If your sales team has a bold new idea to reach customers, let them try it out on a limited scale. Avoid “talking it to death” at all costs.

Life is a Zoo in a Jungle

Friday, June 25th, 2010

I often am asked, “What does Zoo in a Jungle Marketing mean?” While I certainly do like animals, there’s a deeper philosophy to the name. My company name is inspired by author Peter DeVries when he said, “Life is a zoo in a jungle.

Life is a zoo in a jungle. This quote sums up two keys to small business success: personal responsibility and seizing opportunity. Everyone lives with constraints to their freedom, much like zoo animals live in cages. Some of these constraints are internal. We worry if we are capable, smart, creative or likeable. Others are external, like regulations, competitors or the weather. Often, these constraints keep us from fulfilling our greatest potential and highest ability.

Successful businesspeople take personal responsibility for the constraints that surround them – both internal and external constraints. Less successful people make excuses instead. You may say that it’s not your fault that the economy is bad, or that you would be successful if only circumstances were different. The fact remains that external constraints are facts you may not be able to change, but you will have to work with them. (People who make excuses for their own internal constraints should consider leaving the path of entrepreneurialism- it might be too dangerous for them.)

If you heed the internal constraints and ignore the impact of the external ones, you will remain in your cage, afraid to venture out into the unknown world. But it is in this jungle where opportunity resides. Once you take responsibility for your constraints, you can seize opportunity and uncage your potential.

To hear more, listen to the interview on my small business marketing philosophy below:

Small Business Marketing Philosophy

Download the small business marketing philosophy MP3 file here. (1.2MB)

A Tribute to Small Business Dads

Friday, June 18th, 2010

Father’s Day is on Sunday, and as I reflected for today’s blog post, I realized my dad is the reason I am a successful small business owner today. My dad, Mike Kinslow, has been a small business owner since he was 22. My parents bought a car wash and soon after started a changeable letter sign operation. They opened a custom hot tub store during the infancy of the spa craze. Using his car washing expertise, my dad invented and patented a radical new idea for car washing – a glass car wash building named Lighthouse Carwash. He morphed the business from simply selling products to offering entrepreneurs an entire turnkey business model.

Why I love small business marketing

My dad taught me almost everything I know about small businesses, and he is why I love small business marketing. Over the years, I’ve learned that he is entrepreneurialism personified. Here are some of his traits that I find are common to most small business owners:

  • My dad has an incredible work ethic. Small business owners know that working hard is the answer to their success. However, one of my dad’s favorite sayings is, “Work smarter, not harder.” He would be the first to chastise anyone for laboring without first thinking about how it could be done more efficiently.
  • Before making decisions, my dad always considers how it will affect his family and employees. Family values and faith in God are of utmost importance to him, and his generosity knows no bounds. This kind of heart is prevalent with all small business owners. You don’t just want to make money. You want to do the right thing.
  • My dad has earned his living searching for ways to fix other people’s problems. Relentless pursuit of the next big idea gives him an adrenaline rush. Without this passion, small businesses could never thrive.
  • If the going got tough, my dad would just work harder. All experienced small business owners know there are lean times at some points in their entrepreneurial lives. The key is to never quit, work harder and keep up that relentless pursuit of the next big idea.
  • And, yes, my dad even has the tendency to micro-manage in order to ensure perfection. All of you small business owners out there know, deep down, that you have a micro-managing spirit. It’s the sense of pride and attention to detail that has allowed you to become successful in the first place. But be careful. Often it is better to delegate decisions that are outside your area of expertise.

So, I dedicate this Father’s Day post to my dad and small business dads everywhere. (Don’t fret, small business moms. You’ll have a turn next Mother’s Day)

New name, new look

Friday, June 4th, 2010

Much can be debated about the merits of changing a well-known brand name. Sometimes a company or brand outgrows the intent of their original name, and marketers think a change will renew vitality and open the doors to new markets. Other marketers retort that customers know a name, so changing it risks losing all the value built into it over the years.

When most companies change, they have some kind of roll-out. When the dishwashing detergent Electrasol changed its name to Finish, it seemed to take two years to complete the transition. First, it was, “Electrasol! (soon to be Finish).” Then it became, “Finish! (formerly known as Electrasol).” After a few iterations of decreasing the font size of Electrasol, it finally faded from the packaging.

One company decided to skip all that transitional bother. Marcal toilet paper: new name, new look.

What happens to this company’s existing customers? Presumably, they will be mystified when they attempt to purchase their toilet paper.

At least we know they’ve been saving trees since 1950 (Before then, they were destroying them, perhaps).

Making Change Simple

Friday, May 21st, 2010

Keeping your small business marketing approach current with your customers

You know that the marketplace changes rapidly, and you have to change your business model with it. But how do you know which changes to make? It’s simple. Ask your customers.

In this small business marketing podcast, I discuss changing business strategy with David Weatherholt and Russell Ball. Russell successfully changed his marketing approach- and company name- to fit the needs of his marketplace. I detail how all small businesses can keep their fingers to the pulse of the marketplace by conducting simple, thorough research with their customers.

Listen or download below:

Small Business Marketing Research

Download the small business marketing research MP3 file here. (12.8MB)

Small Business: Marketing with Personality

Friday, May 7th, 2010

Small businesses have a great marketing advantage over large businesses: built in personality. Large companies strive to develop personalities with expensive advertising and PR campaigns– think Apple (I’m a Mac), Wal-Mart (Power to the Savers) and Toyota (the Swagger Wagon family). But if you have a small business, you are the personality (for better or worse).

Why is personality a great small business marketing tool? By showing your personality, you give customers something to be loyal to. Loyalty can’t be bestowed on products or services, but people are loyal to other people and organizations. Loyal customers will buy more from you and rave more to their friends. You just need to show them some personality.

What have you done lately to infuse the best parts of your personality into your small business?

The Communication Trifecta

Friday, April 23rd, 2010

Content, timing, media – this sums up the marketing communications trifecta. And they all have one goal: communicate with your customers in ways that are meaningful to them.

If you don’t communicate with customers in ways that are meaningful to them, your messages will be ignored (or, even worse, your customers will become angry with you). Don’t waste your marketing budget on direct mail pieces that will be thrown in the trash or email messages that will be marked as spam. Here are some things to consider as you design your communications with customers.

Talk like a customer.
The most important element is the content of your message. Communication is for your customers, not for you, and the content should be designed for the customer. Sometimes, companies fall into the trap of creating communications for themselves, instead of for their customers. In their latest ads for Windows 7, Microsoft developed a hilarious message… by poking fun at their customers. Watch as the customer in this ad enters a dream world, imagining an impossibly idealized version of herself:
How is this ad supposed to be meaningful for Microsoft’s customers? Microsoft made the mistake of designing an ad they found funny, without considering what their customers might think.
At least Microsoft didn’t fall into the trap of many technology companies by listing all their new technical features. You’ll notice they didn’t even mention the technology. That’s because almost no customer cares about technological details. They care about having a computer that is easy to use, and Microsoft knows that.
It’s 3AM. Do you know where your marketing communications are?
Beyond the content of your messages, you must consider the timing of your communications. Telemarketers are infamous for calling people as they sit down to dinner. Telemarketers are also known for their low success rates – The Direct Marketing Association reports that the response rate for outbound telemarketing is between 2.9 – 4.4% (they also report this rate is the best for all direct marketing methods – yikes!). Consider when your customers would like to hear from you. For example, if you are emailing a B2B newsletter, don’t send it out Monday afternoon. It’s likely your customers are already busy and won’t have time to read it.
So many choices.
Completing our trifecta of communication is the medium you choose. There are more media than ever from which to pick: magazines, direct mail, newspapers, pay-per-click advertising, social media, local events, radio and many other choices. Fortunately, choosing a medium is not as difficult as it might seem. The only media that matters to you are the ones that matter to your customers. An assisted living facility might advertise in a well-respected local newspaper, because that’s what their customers trust. An organic bakery, on the other hand, might not do any traditional advertising at all, if they determine they can best reach their customers at the local farmers’ market or on Facebook. One media tip: the more local your business is, the more local the communication should be.
Communication is more than just advertising.
Traditional marketing communications like we’ve been discussing are the flashiest and most obvious element of communicating with your customers, but, really, communications include every time you talk to your customers and every time they try to talk with you. While a large part of communication is advertising, you need to evaluate every point of communication with your customers.
Some of the non-advertising communications you should evaluate include your billing documents, receipts, the experience of calling your business on the phone, handling a customer service issue or walking into your store. The strength of the small business is that you can give thought to every experience your customers have with you and your company. Making beneficial changes to non-advertising communications with your customers is usually inexpensive and can make a big difference to the bottom line.
New isn’t always better.
I know many small businesses feel the need to try out new and various ways of advertising, and they spend a lot of money trying to find “what works.” But you don’t have to guess, and you don’t need to listen to high-pressure sales pitches. You can evaluate every new advertising opportunity with the question, “Will this be meaningful to my customers?” By making all communications customers have with you meaningful, you will be able to stretch your marketing budget further and with more success.

Talk like a customer.

The most important element is the content of your message. Communication is for your customers, not for you, and the content should be designed for the customer. Sometimes, companies fall into the trap of creating communications for themselves, instead of for their customers. You can see an example of this in my post, “Microsoft, why do you insult your customers?

At least Microsoft didn’t fall into the same trap as many other technology companies by listing all their new technical features. You’ll notice they didn’t even mention the technology. That’s because almost no customer cares about technological details. They care about having a computer that is easy to use, and Microsoft knows that.

It’s 3AM. Do you know where your marketing communications are?

Beyond the content of your messages, you must consider the timing of your communications. Telemarketers are infamous for calling people as they sit down to dinner. Telemarketers are also known for their low success rates – The Direct Marketing Association reports that the response rate for outbound telemarketing is between 2.9 – 4.4% (they also report this rate is the best for all direct marketing methods – yikes!). Consider when your customers would like to hear from you. For example, if you are emailing a B2B newsletter, don’t send it out Monday afternoon. It’s likely your customers are already busy and won’t have time to read it.

So many choices.

Completing our trifecta of communication is the medium you choose. There are more media than ever from which to pick: magazines, direct mail, newspapers, pay-per-click advertising, social media, local events, radio and many other choices. Fortunately, choosing a medium is not as difficult as it might seem. The only media that matters to you are the ones that matter to your customers. An assisted living facility might advertise in a well-respected local newspaper, because that’s what their customers trust. An organic bakery, on the other hand, might not do any traditional advertising at all, if they determine they can best reach their customers at the local farmers’ market or on Facebook. One media tip: the more local your business is, the more local the communication should be.

Communication is more than just advertising.

Traditional marketing communications like we’ve been discussing are the flashiest and most obvious element of communicating with your customers, but, really, communications include every time you talk to your customers and every time they try to talk with you. While a large part of communication is advertising, you need to evaluate every point of communication with your customers.

Some of the non-advertising communications you should evaluate include your billing documents, receipts, the experience of calling your business on the phone, handling a customer service issue or walking into your store. The strength of the small business is that you can give thought to every experience your customers have with you and your company. Making beneficial changes to non-advertising communications with your customers is usually inexpensive and can make a big difference to the bottom line.

New isn’t always better.

I know many small businesses feel the need to try out new and various ways of advertising, and they spend a lot of money trying to find “what works.” But you don’t have to guess, and you don’t need to listen to high-pressure sales pitches. You can evaluate every new advertising opportunity with the question, “Will this be meaningful to my customers?” By making all communications customers have with you meaningful, you will be able to stretch your marketing budget further and with more success.